Data and analytics company GlobalData finds that artificial intelligence (AI) and cybersecurity are driving growth in the small and medium-sized business (SMB) market.
“For the foreseeable future, AI and cybersecurity will continue to get the greatest amount of attention and create the most market noise. This is inevitable as they represent considerable opportunities and threats for businesses of all sizes,” Robert Pritchard, principal analyst, Enterprise Technology & Services at GlobalData, said.
SMB market
GlobalData also found that service providers seek long-term growth from faster-growing opportunities in Africa, Latin America, and Asia-Pacific.
“SMBs are the engine of economic growth globally. This explains why attention has expanded to new geographies where the potential for growth is huge, especially when compared to so-called mature markets that tend to be highly competitive and where businesses already have a wide choice of service providers,” added Pritchard.
SOHO market
The data and analytics company currently sees growth opportunities in the small office/home office (SOHO) market.
Pritchard said SOHOs present new organisational problems and issues in products, propositions, and marketing channels.
“But they offer the same fundamental attraction as SMBs – they tend to be more ‘sticky’ (i.e., lower churn rates), they represent a very substantial overall market opportunity in revenue terms, and they will – like all other segments – increasingly need value-added, high-margin services like cybersecurity and AI,” Pritchard said.
